The pharmaceutical industry: high-quality listed pharmaceutical companies have entered the "suction" range

In the third quarter, the medical sector “has first lifted and then decreased”. In the third quarter, the medical biological index and the Shanghai and Shenzhen Pharmaceuticals Index fell by 9.9% and 10.0%, respectively. The excess returns of the A shares were 4.4 and 4.3 percentage points respectively. In the third quarter of 2011, the trend of the pharmaceutical sector “has been raised first and then suppressed”, and high-quality pharmaceutical companies in many sub-sectors have a certain degree of resilience.

The third year of the new healthcare reform entered the "deepwater area" of reform. Due to the multi-sectoral and multi-sectoral interests, the phased slowdown in the promotion of the new healthcare reform, coupled with the rise in inflation during the macroeconomic cycle and reform of public hospitals, it is difficult to move forward, the cost rises and the bottleneck of the hospital terminal. "Make the pharmaceutical industry as a whole "compressed."

Use mobile phones to easily stocks anytime, anywhere! Certain flesh fleeing will surely regret that sudden rise is likely to come to the stockholders' gospel: the stocks will be saved! The overall valuation of the pharmaceutical sector has entered the "buy" range. At present, the price-earnings ratio (TTM) of the medical biological index is 30.8x, and the relative ratio of the Shanghai Composite Index PE is 222. The valuation of the Pharmaceutical Biology Index fluctuates in the range of 23x-27x even at its lowest level in 2008, and is currently only 30.8x, which is close to the valuation level of the 2008 underestimation period. We believe that the uncertainties in the short-term policies of the pharmaceutical industry will not affect the rapid development of high-quality companies, and the valuation has entered the “absorbed” range.

Fourth quarter proposal. We believe that the investment ideas of the pharmaceutical industry in the fourth quarter were: pharmaceutical companies with rapid merger and integration capabilities, resource-based pharmaceutical listed companies, and pharmaceutical companies with strong innovation capabilities. Corresponding listed companies include Coron Pharmaceuticals, Kangzhi Pharmaceutical, Dongfulong, Hengrui Pharmaceutical, Enhua Pharmaceutical, Donga Ejiao and Pien Tze Huang.

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